Largest Truckers Report Record RevenuePosted On 15th April 2015
It is easy to see why the revenue would increase for these trucking companies. In the recent past, not only has demand for trucking services increased, especially LTL freight shipping companies, the cost of transportation for shippers has risen too. In fact, transportation managers are working hand in hand with truckers to mitigate these costs and make the burden less heavy for the end customers, and the service delivery more efficient.
The Top 50 Trucking Companies ranks trucking companies in order of revenue. An interesting observation to note is that the top 25 out of the 50 largest trucking companies accounted for 85 percent of the total revenue. At the top of the rankings was UPS, with $28.6 billion in revenue while last on the list was Hub Trucking Group with a revenue of $522 million and a growth rate of 8.9 percent. Trucking is considered a highly fragmented industry, with hundreds of thousands of small carriers. However, the lion’s share of the revenue is controlled by the largest companies, and this is not about to change.
Another interesting thing to note about the companies listed on the Top 50 is that none of them posted revenue of less than $500 million. This set a new floor for the list, giving trucking companies a bottom-line that they will strive to beat in the coming years.
Despite the increase in revenue, trucking companies have to deal with the acute truck driver shortage that is challenging the entire freight shipping industry right now. Some of the revenue generated from trucking operations will have to be directed towards hiring more drivers. The trucking companies did engage in hiring last year, but the efforts have done little to reduce the shortage.